strategies for successful negotiation

Roadmap

Discover the 7 step prep process for effective negotiation

Explore principled negotiation skills Learn how to avoid getting derailed

by negative emotions

Integrative Bargaining Techniques

“The emphasis on relationship building marks integrative bargaining’s approach as being oriented toward a long-term vision for future negotiations with your counterpart” Prof. Michael Wheeler Harvard Business School

The 7 step prep process

Focus on interests, not positions What are my/their alternatives? (BATNA) Invent options for mutual gain – get creative Insist on objective criteria – legitimacy What commitments should I seek or make? Focus on the relationship:

The pursuit of joint value Separate people from the problem Perception Emotion

Effective communication: Verbal & non-verbal behaviour

Search for information. Use your excellent communication skills, listen and ask questions with a focus on detecting the other party’s interests

1. Focus on interests: Yours & theirs

Most of us are in the dark when it comes to knowing

all of our interests

What is your BATNA: Best alternative to a negotiated agreement?

2

Invent Options for Mutual Gain

Think outside the box

3

The sisters & the orange Judgment hinders imagination Invent first, decide later Expand the pie & select from

a variety of options

Legitimacy: the case for using objective criteria

Fair standards: market value, scientific judgment, professional standards, moral standards, tradition Fair procedures: “one cuts and one chooses”, “take turns”, “draw lots”, “let someone else decide” People using objective criteria tend to use time more efficiently

4

Commitment • Clarify your objective (ultimately

what do you want?) • Identify the issues that need to be

discussed • Commit to understanding the other

side • *Don’t forget logistics:

• Where will this conversation happen?

• For how long? • What is on the agenda?

5

• The pursuit of joint value • Separate people from the problem • Be aware of perceptions • Be cognizant of handling emotions

6

Focus on the relationship

Separate the people from the problem

• The other side has emotions, deeply held values, different backgrounds & viewpoints

• They are unpredictable (and so are you)! • Our desire to feel good about ourselves & concern over what others

think of us, makes us more sensitive to others interests • Negative emotions cloud this sensitivity and cause defensiveness &

tunnel vision

Treating people & problem as one

The discussion becomes entangled with personal interests & the relationship itself You may express anger toward another because he/she is associated with the issue On both the giving and receiving end, we are likely to treat people and problem as one Ex. "Our bank account is low" may be intended simply to identify a problem, but it is likely to be heard as a personal attack

When negotiating it is easy to forget that you must deal not only with other peoples’ problems, but also with your own. Your anger and frustration may obstruct an agreement beneficial to you. Your perceptions are likely to be one-sided, and you may not be listening or communicating adequately

Cycle of misunderstandin

gs, reactions, counterargumen

ts

Negative emotions

Egos become fragile

Defend my position &

misinterpret others

Objective is to score

points/win

Confirm –impressions &

blame

Perception How you see the world depends on

where you stand We focus on facts that confirm prior

perceptions We disregard or misinterpret those that

call our perceptions into question A skilled negotiator gets to know &

feel the emotions of the other side

The lights go out…egos get involved, creativity is dulled, and we hold to our positions- No matter how irrational

What to do Suspend judgment Try on their perspective Understanding is not agreeing Don’t deduce their intentions from your fears. It narrows options

Emotion Make emotions explicit & acknowledge them

as valid (free them from the burden of suppression)

Allow the other side to let off steam Don't react to emotional outbursts Suggest a break Breath Rule: One person is allowed to be angry at a

time

7

Communication

Listen actively & acknowledge what is being said

Examine what is not being said (body language)

Speak about yourself, not about them (I language)

Speak for a purpose

"Be unconditionally constructive. Approach a negotiation with this – ‘I accept you as an equal negotiating partner; I respect your right to differ; I will be receptive.' Some criticize my approach as being too soft. But negotiating by these principles is a sign of strength." Roger Fisher, Getting to Yes

Recap

Explored the 7 step prep process for effective negotiation

Discussed principled negotiation skills

Examined how to avoid getting derailed by negative emotions